FIRE calculator

What a FIRE number is

FIRE stands for financial independence, retire early. Your FIRE number is the portfolio size that could cover your yearly spending through withdrawals: annual expenses ÷ withdrawal rate. At a 4% rate that is 25 times your expenses. The 4% figure comes from historical US studies of 30-year retirements, so it is a starting point, not a guarantee, and people retiring very early often choose a lower rate.

Use a real return

Prices rise, so a nominal return overstates what your money will buy later. To keep everything in today’s dollars, enter a real return, meaning the expected nominal return minus inflation. Your expenses and yearly savings are then treated as constant in today’s purchasing power. If you enter a nominal return with today’s expenses, the timeline will look too short.

Methodology

Each month the portfolio grows by (1 + real return)^(1/12) − 1 and one-twelfth of your yearly savings is added. The calculator counts months until the balance reaches the FIRE number and reports the result in years, capped at 100 years. It ignores taxes, fees, income changes, Social Security and healthcare costs.

Pulling the levers

• Your savings rate and spending matter more than return assumptions, because lowering expenses both raises your savings and lowers the target.
• Test lower returns and a lower withdrawal rate for a cautious case.
• Explore traditional planning with the retirement calculator, check the inflation calculator to understand real returns, and read our retirement savings guide.

Frequently asked questions

This calculator is for education and illustration. It does not account for taxes, fees or your personal situation unless stated, and is not financial advice.